Clean Energy Finance Forum

On social media and at industry conventions, it is easy to find high-profile discussions on the technological revolution of electric grids. Experts on energy storage, distributed generation, and wireless options describe how emerging technologies are poised to transform the electricity sector. The hype is real. Energy companies are developing technologies at an increasingly rapid pace. But for all the attention on these new devices and expectations of market growth, there’s still no clear path to widespread adoption. As this series shows, several key barriers prevent technology adoption from keeping up with technology development.

A study published on Aug. 24 by National Renewable Energy Laboratory in partnership with Clean Energy Group found that approximately 25 percent of all commercial customers in the United States could cost-effectively reduce their electric utility bills through onsite battery storage.

When Tesla unveiled the utility-scale Powerpack battery in 2015, analysts and observers excitedly proclaimed the product’s low price point would revolutionize electric grid operations and business models as it set new cost benchmarks for energy storage. But despite the hype, the reception from utilities was tepid at best. This experience is not unique to Tesla. It leads to a big question: What’s stopping utilities from quickly pivoting to new energy technologies? Unlike other industries that can quickly adopt new technology, utilities and their regulators must make more cautious deliberations.